make this shorter: The intricate relationship between financial markets and economic growth, highlighting how higher per capital income influences various economic aspects and stock market performance. The article delves into historical and theoretical perspectives from key researchers like Gurley, Shaw, and Goldsmith, who assert that financial development is positively correlated with real income and wealth. It contrasts bank-based and market-based financial systems, emphasizing the evolving trends towards capitalism in many formerly socialist countries under the guidance of institutions like the IMF and World Bank